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Used Cost Segregation Study to Save Auto Dealer Over $273,000

Our client, an auto dealer, purchased a commercial building for $1.6 million and incurred $1.5 million in renovation costs in 2014. After a qualified cost segregation study was completed, over $1.4 million of assets were broken down into 5-, 7- and 15-year MACRS property. The net present value (the cumulative value of accelerated tax savings) of completing the cost segregation study was over $273,000.